Stelco granted stay period extension

Stelco granted stay period extension

Legally insolvent Canadian steelmaker Stelco Inc. has sought and received an extension to its restructuring. The stay period will now last until September 23. A Special Officer of the court was also appointed to oversee a review of complaints put forth by two former directors. The two directors, who resigned August 31, cited "a fundamental disagreement over decision-making processes." Speculation is that Roland Keiper and Michael Woollcombe possibly resigned because Stelco may seriously be considering Brascan Corp. sponsored restructuring bid. Courtney Pratt, Stelco's president and Chief Executive Officer, said, "The extension of the stay period and the appointment of a special officer will enable us to continue our productive stakeholder discussions while addressing the complaints lodged by our former directors." Hamilton-based Stelco Inc. is a large, diversified steel producer involved in major segments of the steel industry through its integrated steel business, mini-mills, and manufactured products businesses.